Last Year Was Second Worst Ever For MPF Pots

Hongkongers' MPF accounts suffered their second-worst performance ever last year, with members losing an average of HK$40,100 - or more than 15 percent of their portfolio, according to the Mandatory Provident Fund Schemes Authority.

Back in 2008, accounts plunged by more than 30 percent amid the global financial crisis.

The authority on Friday put last year's poor performance down to the economic downturn, geopolitical tensions and the pandemic, noting that both the equities and bonds markets in general recorded losses.

The authority's executive director, Gabriella Yee, said that while she couldn't guarantee a bounce-back, eight times since 2000 there has been a rebound in the 12 months following a year of declines.

"I don't have a crystal ball, I can't tell you that 2023 is going to be a very good year, but reference can be made to the historical performance," she told a press conference.

Meanwhile, the authority's acting chief operating officer, Cynthia Hui, said the body issued some 342,000 notices to employers last year over late contributions for their workers.

Less than 30 percent of these employers eventually paid up, she said, adding that the authority is now looking at increasing the five percent surcharge for late payments.